Does any fast trading really work?

[Music Man]

I usually work the shorter TFs, but this morning I was influenced by comparing the TFs and seeing that the H4 chart seemed less random, as I have read many times in forums. So, I thought I would give it a try. And yes, I agree that my entry and exit were sloppy and imprecise. As I said... just happy for the win.

Price-action wise, I have Parabolic SAR, AC and AO up, along with BB. What I have noted is that the market sometimes moves counter to these indicators, particularly at the shorter timeframes. That's been a little annoying, but I guess if it were that easy, we'd all be ultra-liquid by now.

BTW, I have been trying your advice about setting the SL just beyond my entry + spread as soon as possible. It does feel nice, but I am obviously not picking the right trendy kind of moments to play, as the recent ranging markets tend to reverse quickly and trip the stop -- in the profit, but not optimally. Then, continuing action inspires a new enter-monitor-SL reset-stop cycle... not too different than my normal pattern.

I'm thinking that longer TFs might be better for this. Or, maybe I just need to give it more time before resetting the SL.

MM

 

[Ricex]

Price-action wise, I have Parabolic SAR, AC and AO up, along with BB. What I have noted is that the market sometimes moves counter to these indicators, particularly at the shorter timeframes.

This maybe because the parameters are not right for the chosen timeframe, see if you can notice a difference when you experiment a bit with these numbers. I don't have a great in depth knowledge of these type of indicators so unfortunately can't give you any guidance with that, but I presume though that you are using them in some sort of strategy that works right?

BTW, I have been trying your advice about setting the SL just beyond my entry + spread as soon as possible. It does feel nice, but I am obviously not picking the right trendy kind of moments to play, as the recent ranging markets tend to reverse quickly and trip the stop -- in the profit, but not optimally. Then, continuing action inspires a new enter-monitor-SL reset-stop cycle... not too different than my normal pattern.

Be wary to not to get things muddled up here, my opinion was that I prefer longer term trading to shorter scalping type trading as I like to settle into a trade in long trends, moving my stop loss up when it seems appropriate. My SL's are also very much larger and my position size much smaller as I take a longer term view, so if the market retraces for 30 or 40 pips it's not a problem, and your right that larger TF are best for monitoring this type of trading but I still go to a 15min chart to get the best point of entry I can. Pips are like water, don't waste them.

Moving SL's up quickly is a perfectly legitimate strategy in scalping but of course you will only be taking 5,10 or 20 pip bites, unless you happen to get a flyer in which case let it ride.

A word of warning, be careful when using SL's and scalping, a lot of non ECN brokers don't like this and will make life difficult for you especially if they know where your SL is.

EDIT: Musicman I've been looking into your indicator problem and I might have found something to help here : Trading method #2 (Parabolic SAR trading) | Forex strategies revealed let us know if it makes a difference.

 

[Music Man]

>>indicator issue

I'll check that out for sure.

BTW, I came by here to thank you for your advice. I sat down last week and studied the longer range charts in EURUSD, drew trendlines, the whole bit. Then, I placed a pending sell order on Friday at the place I figured the market would peak at -- 1.49719. It took until today for the order to execute. I rode it down to 1.49000 for 71 pips.

That's the most pips I've ever gotten on a single trade.

Thanks, my friend!

MM

 

[Ricex]

Good trade Musicman. Eur/usd has been in an almost textbook range for a while between 1.4800 and 1.5000, keep an eye on these levels they are important. Remember basic range trading training, buy off support, sell at resistance don't risk it in the middle. If either get broken by a breakout let it go don't chase it it could be false, (unless your already on the winning side of course) let it come back to test and then reassess the situation at that point.

Always good to hear of a pip win, nice one.

 

[fixaprobl]

Hi dear,

Automated forex trading can be great way to go about forex trading as there are many different programs & software available. Software can be a great tool for those that do not have a lot of experience as this software not only can make your forex trades but it can also provide market analysis information which can help you identify market trends.

 

[Pharaoh]

It would be far better to learn how to trade forex first. Then you'll be able to understand if what the software is doing makes sense.